Employee Retention Credit
Family-Owned Firm Specializing in Maximizing ERC Refunds for
our Small Business Owner Clients
Employee Retention Credit
Family-Owned Firm Specializing in Maximizing ERC Refunds for
our Small Business Owner Clients
WHAT IS ERC?
The Employee Retention Tax Credit (ERC) is the largest government stimulus in history at $400 BILLION and was designed to help small-to-medium size businesses that were able to retain their employees during the Covid-19 pandemic. Established by the C.A.R.E.S. Act of 2020, it is a refundable payroll tax credit. It is NOT A LOAN and has NO RESTRICTIONS on how refund checks are used. The ERC is based on qualified payroll wages and healthcare paid to W-2 employees.
- Up to $26,000 PER employee
- No restrictions on how these funds are used once received
- Up to 70% of all small businesses qualify, sometimes, even if sales were unaffected by covid-19
- We charge NO UPFRONT FEES for getting you this tax credit
- ERC is a refundable payroll tax credit and never has to be paid back!
How much money can you get back?
You can claim up to $5,000 PER employee for 2020 and up to $7,000 PER employee PER quarter (or $21,000) for three quarters in 2021. Many companies are eligible for hundreds of thousands, even millions of dollars, in ERC refunds. This opportunity is bigger than BOTH ROUNDS OF PPP COMBINED.
Let’s see an example below of a business employing 20 employees at an average of $50k/year:
How do you know if your business is eligible?
To qualify for an ERC refund, your small business must have been negatively impacted in ANY
of the following ways:
- A government authority required partial or full shutdown of your business during 2020 or 2021. This includes your operations being limited by commerce, inability to travel, or restrictions of group meetings.
- Gross receipt reduction criteria is different for 2020 and 2021, but is measured against the current quarter as compared to 2019 pre-Covid amounts.
- There are many ways businesses can qualify including full or partial suspension of operations during each calendar quarter (we help you document qualifying partial suspensions as part of an engagement.) This operational disruption includes, for example, capacity restrictions on indoor dining, canceled trade shows and group meetings, and other interruptions that are non-nominal in nature.
- If your business had to change operations due to governmental orders or if 2020 gross receipts declined by 20%, your business likely qualifies. A change in operations could mean extra cleaning or sanitizing, limiting capacity or reducing hours, installing/utilizing protective equipment, temperature checks, or operational impact related to key suppliers or customers.
- A business can be eligible for some quarters and not others.
- Initially, under the C.A.R.E.S. Act of 2020, businesses were not able to qualify for the ERC if they had already received a Paycheck Protection Program (PPP) loan. With new legislation in 2021, employers are now eligible for BOTH programs.
Our EXPERT CPA Services include
- Thorough evaluation regarding your eligibility by an expert CPA
- Proprietary analytical software evaluation
- Comprehensive CPA analysis of your refund claim
- Guidance on the ERC process and documentation
- Specific program expertise some accountants, payroll processors, and CPAs may not be experienced in
- Fast and smooth end-to-end process, from eligibility to claiming and receiving refunds
- We offer audit support upon request in the unlikely event the IRS has questions or needs additional information
- We communicate directly with the IRS regarding your claim or refund status
Our dedicated CPAs are ERC specialists and will interpret highly complex program rules while being available to answer your questions including:
- How does the PPP loan factor into an ERC refund?
- What are the differences between the 2020 and 2021 ERC programs and how does it apply to your business?
- What are aggregation rules for larger, multi-state employers, and how do I interpret multiple states’ executive orders?
- How do part-time, Union, and tipped employees affect the amount of my refunds?